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TMI Blog2007 (12) TMI 160X X X X Extracts X X X X X X X X Extracts X X X X ..... judgment. 2. The appellant applied to the Assistant Commissioner of Central Excise, Virudhunagar, seeking permission to utilise the excess credit available in the statutory RG 23-A account and the Central Excise Act, 1954. Having not permitted, while it challenged the rejection order dated 12 th March, 1998, also challenged the validity of clause (3) of 2 nd Proviso to Notification No.5/94 C.E. (NT) dated 1 st March, 1994, issued in exercise of powers conferred by Rule 57-A of the Central Excise Rules. Having not granted substantive relief by learned single Judge, the present two appeals have been preferred. 3. As the case could be disposed of on a short point, it is not necessary to discuss all the facts, except th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ailable under RG 23-A account shall not be refunded or adjusted or utilised for payment of duty under any excisable goods. The RG 23-A is an account prescribed by Rule 57-G for maintaining a record of duty paid on inputs with a record of credit utilised for payment of duty utilised on the product. Subsequently, notification No.18/90 CE (NT) dated 16thMay, 1990 was issued substituting Rs.5.25 sq.mt., in place of Rs.3.50 per sq.mt. By another notification No.39/91 CE (NT) dated 16th Dec., 1991, Rs.5.25 was substituted by Rs.5.50 per sq.mt. It followed by notification No.5/94 CE (NT) dated 1st March, 1994, which by clause (3) of 2nd proviso, made the following stipulation : " * * * * * * * * ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... having been rejected vide letter C.No.IV/16/225/97-T.3 dated 12 th March, 1998, the writ petitions were preferred challenging the order of rejection and Notification No.5/94 CE (NT) dated 1 st March, 1994. 5. According to the counsel for the appellant the restriction on receipt of the duty paid on Poly Vinyl Chloride under heading 39.04 and utilisation of the duty credit in the manufacture of coated fabrics under heading 59.03 were removed, the proviso has been applied prospectively only in respect of Poly Vinly Chloride for which credit had been taken prior to 1 st March, 1994 and lying as excess credit as on the same date. It was submitted that the rejection of such utilisation even after 1 st ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... levant facts, rules and the orders passed in the writ petitions as were preferred by the petitioner from time to time. 7. Rule 57-A deals with credit of duty paid on excisable goods as inputs, particularly its applicability. The provision of the said section applies to such finished excisable goods (final products) as the Central Government, by notification in the official gazette, specify in this behalf. Thus, it will be evident that the manufacturers have no right to get the benefit till notifications are issued by the Central Government providing the benefit of credit of duty paid on excisable goods used as inputs for finished products. 8. The only question that arise for consideration in thes ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... other excisable goods under any circumstances whatsoever." It is a different matter that the rate of Rs.3.50 per sq.mt., was subsequently amended as Rs.5.25 and then Rs.5.50 per sq.mt., but so far as the excess credit is there, since amendment made on 1 st March, 1989, it was made clear that the excess credit, if any, available under RG 23-A account shall not be refunded to the manufacturer or adjusted against or utilised for payment of duty on any other excisable goods under any circumstance whatsoever. Thus, it will be evident that it is not for the first time such provision was made vide clause (3) of 2 nd proviso to Notification No.5/94 CE (NT) dated 1 st March, 1994, but since 1989 the appellant was not ..... X X X X Extracts X X X X X X X X Extracts X X X X
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